If you've been putting off filling that vacancy, this is the update that should make you pick up the phone today.
Stephen Simpson's recent article for HR Review sets out the changes coming through the Employment Rights Act 2025, and the headline for any business owner is this: the qualifying period for unfair dismissal drops from two years to six months.
Employees hired from July 2026 will be covered by the new threshold when it formally kicks in from January 2027. The compensatory award cap, currently around £118,000, is being removed entirely.
Two years become six months. The cap goes. That changes everything about how you approach hiring and probation.
Is there a case for hiring now?
Honestly, yes. If you have roles you know you need to fill, bringing people in well before July 2026 means those employees fall under the existing two-year qualifying period. That gives you longer to assess fit and considerably more breathing room if a hire doesn't work out.
I'm not suggesting you hire for the sake of it. If the role isn't there, the role isn't there. But if you've been dragging your feet on hires you know are coming, the calendar is now working against you. Recruitment from initial brief to start date easily takes eight to twelve weeks before notice periods. Time disappears quickly.
The bigger issue
The legal change is only half the story. The other half is that your probation process probably needs a serious rethink. Vague feedback, inconsistent line manager standards, and undocumented reviews have always been poor practice. From 2027, they will become a legal liability.
If you're hiring between now and the changes, hire better. Tighter job specifications, structured onboarding, regular documented check-ins, and line managers who can have honest conversations at week six rather than week twenty-five.
My advice
Look at your hiring plan for the next twelve months this week. Get the briefs out for roles you know are coming. Review your probation processes properly, not just on paper.
If you'd like to talk it through, you know where I am.
You can read Stephen Simpson's full article on HR Review (worth the read, ads and all